Jordan launches first compressed natural gas power plant in Muwaqqar

AMMAN — Jordan on Thursday launched its first compressed natural gas (CNG) power generation project at the National Chlorine Industries Company in Muwaqqar, according to an Energy and Mineral Resources Ministry statement. 

Minister of Energy and Mineral Resources Saleh Kharabsheh, during the opening ceremony,  said that the new power plant, which relies on the Rishah gas field,  is designed to consume three million cubic feet (mcf) of natural gas per day to produce 10 megawatts of electricity for the factory's operations.

He noted that the Rishah gas field currently produces 40mcf of natural gas, highlighting efforts aimed at supplying gas to industrial zones such as Rawda, Muwaqqar, Quweira, Mafraq, Qastal and Hashimiyya.

He also cited plans to increase production to 50mcf by 2025 and 200mcf by 2030.

On the financial benefits of using natural gas to generate electricity, he said that it is 35 per cent cheaper than diesel and over 50 per cent cheaper than heavy fuel oil. 

Kharabsheh noted that this project, one of three in the Risha area focused on CNG production, is expected to reduce industrial operating costs by 25-50 per cent, increasing the competitiveness of Jordan's industrial sector and boosting revenues for the National Petroleum Company (NPC).

This financial support will enable the company to self-finance its expansion and increase production from the Risha field, the minister added.

The project is in line with Jordan's Economic Modernisation Vision, which aims to create more than 10,000 jobs and achieve an economic growth rate of 5.6 per cent by 2030, he said. 

Kharabsheh announced that the ministry is working on legislation to regulate natural gas activities in the Kingdom.

Following the launch, the minister and other officials toured the facility to assess its readiness for operation on natural gas.

Since March 2023, the ministry has included compressed and liquefied natural gas prices in its monthly fuel derivatives bulletin.